SK Hynix has established a weekly bond investment pattern executing 5 trillion to 10 trillion won in purchases every Thursday and Friday since June. The semiconductor company invests across credit bonds, commercial paper (CP), and derivative-linked bonds (DLB) in batches exceeding 50 billion won per transaction. Securities firms trading with SK Hynix now prepare investment products in advance each week to meet the unprecedented demand scale, which has been sustained for one month.
SK Hynix Establishes Thursday-Friday Investment Schedule
SK Hynix confirms its weekly bond funding execution at the start of each week. The company concentrates investments on Thursdays and Fridays, accepting bundled offerings of credit bonds, CP, and DLB in units of 50 billion won or more. Securities firms' trust departments identify investable products the preceding week and initiate issuance procedures at the start of the target week. When products not aligned with the Thursday-Friday schedule become available, trading securities firms hold them for one to two days before submitting on the designated days, according to a bond official at a securities firm.
DLB Issuance Doubles in June
DLB issuance surged following SK Hynix's bond investment activities in June. Total DLB issuance reached 4.39 trillion won in June compared to 1.97 trillion won in May, marking approximately 120% growth, according to Yonhap Infomax DLB issuance data. The June figure represents 170% growth compared to 1.63 trillion won issued in June of the previous year. Issuance from AA-rated or higher securities firms showed notable increases: NH Investment & Securities (AA+) issued 1.20 trillion won in June versus 271 billion won in May; KB Securities (AA+) issued 334 billion won versus 14 billion won; Meritz Securities (AA) issued 807 billion won versus 3 billion won; Kiwoom Securities (AA) issued 550 billion won versus 211 billion won; and Korea Investment & Securities (AA) issued 155 billion won versus 70 billion won.
Securities Firms Expand Product Offerings
Securities firms are increasing CP and DLB issuance to fulfill SK Hynix's investment scale, as credit bonds alone cannot meet demand. Mirae Asset Securities submitted a securities registration statement to the Financial Supervisory Service on the 29th of last month for 1.26 trillion won in CP issuance scheduled for the 9th, a Thursday. "Since June, SK Hynix has been investing across credit bonds, CP, and DLB," stated a bond official at a securities firm. "Fund execution occurs regularly every Thursday and Friday, and this pattern is expected to continue this month (July). The volume submitted weekly reaches 5 trillion to 10 trillion won."
FAQ
Why does SK Hynix invest on Thursdays and Fridays?
SK Hynix confirms its weekly bond funding execution at the start of each week and concentrates investments on Thursdays and Fridays. This regular schedule has been maintained since June, with securities firms preparing products in advance to align with these designated days.
How much did DLB issuance grow in June?
DLB issuance reached 4.39 trillion won in June, representing 120% growth from 1.97 trillion won in May and 170% growth compared to 1.63 trillion won in June of the previous year, according to Yonhap Infomax data.
